Many small business owners find themselves relying on personal auto insurance for their needs, but this can be a costly mistake. If you use your personal auto to conduct business, there's a good chance that your personal auto insurance company will not cover any accidents, bodily harm, or property damage that results from business use of your covered vehicle. This can leave you as the business owner open to claims against your business and against you personally.
There are multiple risk factors involved in using vehicles in your business, and insurance companies look at how often you use the vehicles, how you use them, and the number of miles you log each year in determining your premium amount. Likewise, your insurance agent assesses the same factors when helping you determine how much coverage to buy to mitigate your business' specific risks.
Like personal car insurance, commercial auto insurance offers basic coverage types, including liability insurance, comprehensive insurance, collision coverage and more. This type of policy protects the business from any significant loss that might affect your company's overall financial well-being and success.
As local, independent agents, we work for YOU, finding you the best possible rate for the right coverage. As authorized agents of Insurance Professionals of Arizona, we compare dozens of companies to find you the best options for home, auto, business and life insurance in many states. We're proud to work only with A-rated carriers so our clients can expect outstanding financial strength and superior claims service to help protect what they value most. And with over 6 decades of combined experience, you can count on the most informed advice and stellar service!
What Does Commercial Auto Insurance Cover?
Usually, a commercial auto insurance policy for your vehicle is a mix of required and optional coverage. It may include some or all of the following, depending on your needs and insurance assessment:
- Bodily injury liability coverage. This type of coverage protects you from loss when you or an employee is involved in an accident that is deemed your fault. This coverage provides for medical costs and any associated costs for claims filed against you, subject to the limits of your policy.
- Property damage liability coverage. Costs for repairing property that is damaged by you or an employee as a result of operating your commercial vehicle is covered under property damage liability coverage.
- Collision coverage. This covers losses due to collisions in your covered vehicle, regardless of fault.
- Comprehensive coverage. This covers all types of non-collision perils. For example, vandalism to your commercial vehicle, theft of your company car, or damage incurred when a tree falls on your commercial passenger van.
- Hired Non-Owned Auto coverage provides coverage when you or your employees drive a rented vehicle. It may also provide protection if an employee sometimes uses a personal vehicle for work.
- Underinsured/uninsured motorist coverage. Should your commercial vehicle be involved in an accident with a motorist who has no insurance or who lacks a sufficient amount of insurance for the losses incurred, this coverage makes up the difference, up to the limits purchased.